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The Policy, and Politics, of Medicare Advantage

KFF Health News' 'What the Health?'

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The Rise and Fall of Medicare Advantage Plans

Medicare has offered beneficiaries the option of enrolling in a private managed care plan instead of what's known as traditional Medicare. Congress has significantly raised what it pays the plans with the stipulation that they use the excess funds to either reduce premiums or add benefits. Humana last month announced that it was going to pull out of the commercial insurance market in order to concentrate on its much more lucrative Medicare advantage business.

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